Publication:
Rethinking Electricity Tariffs and Subsidies in Pakistan

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dc.contributor.authorTrimble, Chris
dc.contributor.authorYoshida, Nobuo
dc.contributor.authorSaqib, Mohammad
dc.date.accessioned2014-08-19T20:22:05Z
dc.date.available2014-08-19T20:22:05Z
dc.date.issued2011-07
dc.description.abstractPakistan's electricity sector is in crisis: extended periods of blackouts persisted in 2010 and circular debt is increasing. Despite investments in generation capacity, electricity demand continues to exceed supply, with blackouts as long as 8-10 hours per day in cities and sometimes double that in rural areas, and is widely recognized as a severe obstacle to growth and poverty reduction. In November 2010, the government was forced to rent the world's largest power ship to boost generation capacity. Meanwhile, the government of Pakistan's (GOP) inability to finance its commitment to fund subsidies, inefficiencies of the sector entities including low collections, delays in determination and notifications, and increased cost of fuel imports contribute to an increasingly severe circular debt problem. The analysis shows that given the current cost of electricity supply, the March 2011 tariff structure will improve the benefit incidence of electricity subsidies for residential users and reduce fiscal burden significantly in comparison to March 2008. For example, our estimations suggest the share of electricity subsidies for the richest 20 percent of the population declined from nearly 40 percent in March 2008 to 29 percent in March 2011. Despite this improvement, the richest households remain the greatest beneficiaries of the subsidies. Also, while the fiscal burden of electricity subsidies increased in nominal terms during the same time period, it declined by almost 60 percent in real terms. The results of the benefits incidence and scenario analyses have a number of policy implications for the fiscal burden of subsidies, and their ability to protect the poor and vulnerable efficiently.en
dc.identifierhttp://documents.worldbank.org/curated/en/2011/07/14928557/rethinking-electricity-tariffs-subsidies-pakistan
dc.identifier.doi10.1596/19456
dc.identifier.urihttps://hdl.handle.net/10986/19456
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.rightsCC BY 3.0 IGO
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectALLOCATION OF RESOURCES
dc.subjectALTERNATIVE ENERGY
dc.subjectALTERNATIVE ENERGY DEVELOPMENT
dc.subjectAPPROACH
dc.subjectAVAILABILITY
dc.subjectAVERAGE TARIFF
dc.subjectBALANCE
dc.subjectBALANCE OF PAYMENTS
dc.subjectBARRELS PER DAY
dc.subjectBLOCK TARIFF
dc.subjectCAPACITY FOR ELECTRICITY
dc.subjectCASH TRANSFERS
dc.subjectCOAL
dc.subjectCOMMERCIAL CUSTOMERS
dc.subjectCONSERVATION
dc.subjectCONSUMER PRICE INDEX
dc.subjectCOST OF ELECTRICITY
dc.subjectCOST OF SERVICE
dc.subjectCOST RECOVERY
dc.subjectCRUDE OIL
dc.subjectCRUDE OIL PRODUCTION
dc.subjectCUSTOMER SERVICE
dc.subjectDISCOS
dc.subjectDISTRIBUTION COMPANIES
dc.subjectDISTRIBUTION COMPANY
dc.subjectDISTRIBUTION LOSSES
dc.subjectDISTRIBUTION MARGIN
dc.subjectDISTRIBUTION OF ELECTRICITY
dc.subjectDOMESTIC GAS
dc.subjectDOMESTIC NATURAL GAS
dc.subjectEFFICIENCY IMPROVEMENT
dc.subjectEFFICIENT ALLOCATION
dc.subjectELECTRIC POWER COMPANY
dc.subjectELECTRIC SUPPLY
dc.subjectELECTRICAL POWER
dc.subjectELECTRICITY
dc.subjectELECTRICITY BILLS
dc.subjectELECTRICITY CONSUMERS
dc.subjectELECTRICITY CONSUMPTION
dc.subjectELECTRICITY DEMAND
dc.subjectELECTRICITY GENERATION
dc.subjectELECTRICITY MARKET
dc.subjectELECTRICITY PRODUCTION
dc.subjectELECTRICITY REFORMS
dc.subjectELECTRICITY SECTOR
dc.subjectELECTRICITY SUPPLY
dc.subjectELECTRICITY TARIFFS
dc.subjectELECTRICITY USE
dc.subjectEMPLOYMENT
dc.subjectENERGY CONSUMPTION
dc.subjectENERGY MIX
dc.subjectENERGY SECURITY
dc.subjectENERGY USE
dc.subjectFISCAL DEFICIT
dc.subjectFOSSIL FUELS
dc.subjectFUEL COST
dc.subjectFUEL PRICE
dc.subjectFUEL PRICES
dc.subjectGAS
dc.subjectGAS FURNACE
dc.subjectGAS PRICES
dc.subjectGENERATING CAPACITY
dc.subjectGENERATION CAPACITY
dc.subjectGOVERNMENT OWNERSHIP
dc.subjectGOVERNMENT POLICY
dc.subjectGROSS DOMESTIC PRODUCT
dc.subjectHOUSEHOLD CUSTOMERS
dc.subjectHOUSEHOLD ELECTRICITY CONSUMPTION
dc.subjectHYDROPOWER
dc.subjectINCOME
dc.subjectINDEPENDENT POWER PRODUCERS
dc.subjectKILOWATT HOUR
dc.subjectLEVELS OF CONSUMPTION
dc.subjectLIVING STANDARDS
dc.subjectLOWER COST OF PRODUCTION
dc.subjectNATURAL GAS
dc.subjectNOMINAL PRICES
dc.subjectNUCLEAR POWER
dc.subjectNUCLEAR POWER PLANT
dc.subjectOIL
dc.subjectOIL CRISIS
dc.subjectOIL EQUIVALENT
dc.subjectOIL PRICE
dc.subjectOIL PRICES
dc.subjectOIL PRODUCTS
dc.subjectOIL SUPPLIES
dc.subjectPOOR HOUSEHOLDS
dc.subjectPOWER COMPANIES
dc.subjectPOWER COMPANY
dc.subjectPOWER CRISIS
dc.subjectPOWER GENERATION
dc.subjectPOWER PRODUCERS
dc.subjectPOWER PURCHASE PRICE
dc.subjectPOWER SECTOR POLICIES
dc.subjectPRICE ADJUSTMENTS
dc.subjectPRICE ELASTICITY OF DEMAND
dc.subjectPRICE INCREASES
dc.subjectPRICE OF ELECTRICITY
dc.subjectPRICE SIGNALS
dc.subjectPRICE VOLATILITY
dc.subjectPUBLIC SECTOR
dc.subjectPUBLIC UTILITIES
dc.subjectQUANTITY OF ELECTRICITY
dc.subjectREFINERIES
dc.subjectRESIDENTIAL CONSUMERS
dc.subjectRESIDENTIAL CUSTOMERS
dc.subjectRESIDENTIAL USERS
dc.subjectREVENUE COLLECTION
dc.subjectSOURCE OF ENERGY
dc.subjectSUPPLY OF ELECTRICITY
dc.subjectTARIFF ADJUSTMENTS
dc.subjectTARIFF CHANGES
dc.subjectTARIFF RATES
dc.subjectTARIFF REFORM
dc.subjectTARIFF REFORMS
dc.subjectTARIFF SETTING
dc.subjectTARIFF STRUCTURE
dc.subjectTHERMAL PLANTS
dc.subjectTHERMAL POWER
dc.subjectTHERMAL POWER GENERATION
dc.subjectTRANSMISSION SYSTEM
dc.subjectUTILITIES
dc.subjectPOVERTY AND DISTRIBUTION ANALYSIS
dc.subjectPSIA
dc.subjectDISTRIBUTIONAL ANALYSIS
dc.titleRethinking Electricity Tariffs and Subsidies in Pakistanen
dspace.entity.typePublication
okr.date.disclosure2011-08-31
okr.date.doiregistration2025-05-07T09:30:29.139351Z
okr.doctypeEconomic & Sector Work::Policy Note
okr.doctypeEconomic & Sector Work
okr.docurlhttp://documents.worldbank.org/curated/en/2011/07/14928557/rethinking-electricity-tariffs-subsidies-pakistan
okr.globalpracticePoverty
okr.globalpracticeSocial, Urban, Rural and Resilience
okr.globalpracticeTransport and ICT
okr.globalpracticeEnvironment and Natural Resources
okr.globalpracticeEnergy and Extractives
okr.globalpracticeEnergy and Extractives
okr.guid870571468286264114
okr.identifier.externaldocumentum000386194_20110831050158
okr.identifier.internaldocumentum14928557
okr.identifier.report62971
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2011/08/31/000386194_20110831050158/Rendered/PDF/629710ESW0whit0020110Final00PUBLIC0.pdfen
okr.region.administrativeSouth Asia
okr.region.countryPakistan
okr.sectorPublic Administration, Law, and Justice :: Central government administration
okr.sectorFinance :: Banking
okr.sectorEnergy and mining :: Power
okr.topicSocial Development::Poverty and Social Impact Analysis
okr.topicInfrastructure Economics and Finance::Infrastructure Economics
okr.topicEnergy::Energy and Environment
okr.topicEnergy::Energy Production and Transportation
okr.topicEnergy::Electric Power
okr.topicEnvironment::Environment and Energy Efficiency
okr.unitPRMPR
okr.volume1 of 1
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